What information is needed for a personal finance application?
There are a number of elements you’ll need to fulfil in order to be accepted on finance for your new leasing car. These include age and driving license restrictions, proof of affordability and a healthy credit rating.
If you know that you are not eligible based on these criteria we would advise that you do not proceed with your application. This is because a failed application could unnecessarily worsen your credit score and therefore affect future applications.
In order to submit your application you’ll be asked to provide a number of personal details. This information will be used to confirm your affordability and to run a credit check to ensure your financial suitability for the lease deal you have requested.
The information you will need to provide will differ depending on whether you are applying for a personal contract hire or a business contract hire. So you are prepared ahead of time, here we have summarised what you will need to provide for a pesonal finance application.
Personal Contract Hire finance application
Basic contact details including your full name, country of birth, two contact telephone numbers and an email address. This is so we can correctly identify you and ensure you are a UK resident. You will also be asked your marital status and the number of dependents you have in order to help assess your affordability.
You will then be asked to provide at least three years of address history. A common reason for applications failing unduly is due to the individual not being linked to their latest address. Ensuring you are registered to vote at your current address is an easy way to ensure this error is avoided.
The next section focuses on your affordability. You will therefore need to provide figures including your annual salary, your monthly take home pay and your partner’s salary. Next, you will need to document any outgoings including mortgage or rent, utility bills and any other loans.
You will then be asked for employment details. Needed here are details on your current job and any previous ones to account for at least three years of employment history. Your occupation, employment status and work address are all required in this section.
Next up are your bank details. This is firstly used to assess your affordability so ensuring you have the funds for the lease deal you are requesting. Another common reason for a decline from the finance house is that they cannot see the funds to cover the initial payment in the account provided. Often this is because the required funds are in savings accounts or the applicant has wrongly assumed they can cover the cost on credit card. Ensure the account you submit is the one you wish your future direct debits to be taken from and ensure all funds necessary to fund the initial payment are present at the time of application. You will need to provide sort code, account number, account name, bank name and your time with the bank (which again must be over three years).
Finally, you will be required to answer a number of questions around your suitability for credit: whether you have ever been refused credit, how you rate your credit and whether you know of any circumstance that may change over the course of the agreement that will affect your affordability. Once confirmed, you will need to accept the declaration and then your application is complete!
And then what?
Once submitted, the information will be provided to the finance house funding your chosen lease deal. They will conduct the necessary checks and return an almost instant decision of accepted, referred or declined. If referred, it will require a more in depth review of your application. This is common and does not indicate that you will be unsuccessful. It may also mean that more information is required from you and if this is the case your account manager will advise accordingly. If your application is declined there are options available to you both in the long a short term, but as it stands you will not be able to lease your proposed lease car.
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